Note 11 - Computation of Earnings Per Share
Basic earnings per share were computed by dividing net income by the weighted-average number of common shares outstanding for each respective period. Diluted earnings per share were calculated by dividing net income by the weighted-average of all potentially dilutive common shares that were outstanding during the years presented.
The calculation of basic and diluted earnings per share for the years ended December 31 was as follows:
 202420232022
Numerator  
Net income$37,094 $63,332 $54,395 
    
Denominator   
Determination of shares (in thousands)   
Weighted-average common shares outstanding4,908 4,920 4,931 
Dilutive effect – share-based awards39 77 68 
Diluted weighted-average common shares outstanding4,947 4,997 4,999 
    
Earnings per common share   
Basic$7.56 $12.87 $11.03 
Diluted$7.50 $12.68 $10.88 
For the years ended December 31, 2024, 2023 and 2022, 7,500, zero, and 31,500 stock options, respectively, were excluded from the calculation of diluted earnings per share as the effect would have been anti-dilutive.
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About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.